SANTA MONICA, Calif.--(BUSINESS WIRE)--Sierra Mutual Funds, Inc., a leader in tactical asset management, today announced the launch of the Sierra Tactical Risk Spectrum 70 Fund (SRSJX), a mutual fund that targets an average equity exposure of 50%-70% over a three-year period with the remaining allocation reserved for bond exposure. The new fund will utilize Sierra’s distinctive tactical investment approach to achieve its objectives of providing total return while limiting volatility and downside risk.
The newly launched fund completes the Sierra Tactical Risk Spectrum Series, joining the Tactical Risk Spectrum 30 Fund (SRTJX), which targets an average equity exposure between 15% and 30% over a three-year period, and the Tactical Risk Spectrum 50 Fund (SRFJX), which targets an average equity exposure between 30% and 50% over a three-year period. Each fund presents a different risk/return profile, allowing investors and advisors choice when it comes to the appropriate exposure for their goals.
“As with other funds across our suite of offerings, the Tactical Risk Spectrum 70 Fund seeks investment opportunities across global equity and fixed income markets while mitigating downside risk. Its addition to the Tactical Risk Spectrum Series gives investors an added option for higher equity exposure,” said James St. Aubin, chief investment officer.
“The Fund allows for up to 70% equity exposure during uptrends to increase upside capture, while utilizing a trailing-stop discipline when any holding enters a downtrend, limiting risk. The result is a uniquely flexible fund that provides a greater range of equity exposure, while adhering to the type of risk management for which Sierra Mutual Funds is known,” adds St. Aubin.
The Sierra Tactical Risk Spectrum 70 Fund seeks to achieve the Fund’s investment objective by investing in a combination of unaffiliated mutual funds and exchange traded funds (ETFs) for exposure to multiple underlying instruments, including:
- U.S. common stocks
- Foreign common stocks, including from emerging markets
- U.S. fixed income securities
- Foreign fixed income securities, including from emerging markets
- High yield corporate bonds
- Preferred stock
- Municipal bonds
- Physical commodities (through mutual funds and ETFs that invest in commodity-linked derivatives)
The outcome is a well-diversified portfolio suited for investors across a range of asset classes.
Sierra constructs the Fund’s portfolio by quantitatively analyzing underlying funds and identifying those that exhibit the most attractive positive trends and have been given a “Buy” signal under the firm’s time-tested investment process. As with every investment, each holding is monitored daily, and each has its own “Sell” signal. In times of elevated market volatility, when all holdings hit Sell signals and while there are no upward trends in global markets, the Fund has the ability to hold up to 100% cash.
The Sierra Tactical Risk Spectrum 70 Fund will be managed by Sierra Co-founder Kenneth L. Sleeper, MBA, PhD; Chief Investment Strategist Ryan Harder, CFA; Sierra Executive Vice President of Investment Management Douglas Loeffler CFA, CAIA; and Senior Research Analyst Marshall Quan.
For more information on Sierra Mutual Funds, please visit www.sierramutualfunds.com.
About The Sierra Companies:
The Sierra group of companies ("Sierra") comprises Sierra Investment Management, Inc., Ocean Park Asset Management, Inc., and Wright Fund Management, LLC, which manages the Sierra Mutual Funds, which include Sierra Tactical Core Income Fund, Sierra Tactical Bond Fund, Sierra Tactical Risk Spectrum 50 Fund, and Sierra Tactical Risk Spectrum 30 Fund.
Since 1987, it has been Sierra’s goal to help retirees and other investors preserve and grow their wealth. Through the years, Sierra has fine-tuned its risk mitigation discipline to attempt to limit the size and length of drawdowns and produce satisfying, risk-adjusted returns over a marketcycle. The Sierra group manages or advises over $9 billion in assets.
Past performance does not guarantee future results and there is no assurance that any investment strategy will achieve its investment objective. Investors should carefully consider the investment objectives, risks, charges, and expenses of the Sierra Mutual Funds. This and other information about the funds is contained in the prospectuses and should be read carefully before investing. The prospectus can be obtained on our website sierramutualfunds.com or by calling toll free 1-800-729-1467. The Sierra Mutual Funds are distributed by Northern Lights Distributors, LLC, member FINRA/SIPC. Neither Sierra Investment Management, Inc., Ocean Park Asset Management, Inc. nor Wright Fund Management LLC are affiliated with Northern Lights Distributors, LLC.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund. This and other information about the Fund is contained in the prospectus and should be read carefully investing. The prospectus can be obtained at sierramutualfunds.com or by calling 1-844-727-1813. The Sierra Mutual Funds are distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. As with all mutual funds, there is the risk that you could lose money through your investment in the Fund.
Underlying Funds may invest in foreign emerging market countries that may have relatively unstable governments, weaker economies, and less-developed legal systems, which do not protect investors. In general, the price of a fixed income security falls when interest rates rise. Any strategy that includes inverse securities could cause the Fund to suffer significant losses. Underlying Fund investments in lower quality bonds, known as high-yield or junk bonds, present greater risk than bonds of higher quality. Municipal securities are subject to the risk that legislature changes and economic developments may adversely affect the value of the Fund’s investments. REIT risks include declines from deteriorating economic conditions, changes in property value, and defaults by borrower. Underlying Funds that own small and mid-capitalization companies may be more vulnerable than larger, more established organizations to adverse business or economic developments. In some instances, it may be less expensive for an investor to invest in the Underlying Funds directly.
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